Music retail group HMV, which has seven outlets in the Republic, said today it plans to debut on the London stock market on May 15th, at a lower-than-expected value of about £834 million sterling.
The company, which has been trading in the Republic for over 15 years, gave an indicative offer price of 190-220p a share. It plans to sell 70 per cent of a total 406.8 million shares, giving the group a total market value of £773-895 million sterling.
HMV opened its first store in Britain in 1921. Its trademark image is of Nipper the dog listening to 'His Master's Voice' on a gramophone.
The expected market value was well short of the anticipated one billion pound price tag some analysts had forecast but it will still be the biggest flotation by a UK-based company since life assurer Friends Provident's listing last July.
HMV is 43 per cent owned by music giant EMI Group. US venture capitalist Advent owns a further 40 per cent, with management holding the rest.
About 70 per cent of the shares will be free-floating and the rest will be split equally between EMI and Advent.
The decision to float the company adds to signs of recovery in the market for initial public offerings, which has shown sparks of life in recent weeks after about 18 months in the doldrums as equity valuations tumbled in the global economic slowdown.
Other retailers such as home improvements chain Homebase and designer label Burberry are expected to follow suit.